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BASF launches its largest investment to date in India with partners

18. December 2019

The chemical company BASF’s project to build a new production facility in India is making progress. In addition to the Indian conglomerate Adani, the oil company Abu Dhabi National Oil Company (ADNOC) and the Austrian plastics manufacturer Borealis have now been won as partners for the realization of the billion-euro project. The planned production facility in Mundra in the Indian state of Gujarat is scheduled to start operations in 2024. The four partners are currently working on a feasibility study to be completed by the end of the first quarter of 2020. If the plant can be operated economically and receives approval from the authorities, the investments will total up to four billion dollars.

In a first phase, BASF had only announced a cooperation with Adani for the construction and operation of various production facilities for acrylic and related substances. It has now been decided to expand the project and integrate additional facilities. It is considered to integrate the production of propylene based on propane to be supplied by ADNOC into the new production site. The propylene, in turn, will partly be further processed in a plant of ADNOC and Borealis. Propylene will also be the main raw material for the planned acrylic production complex of a joint venture between Adani and BASF.

The entire project would be BASF’s largest investment in India to date. It is also noteworthy that BASF intends to fully supply the site with renewable energy. Chemicals or machinery used for their production could be subject to BIS or PESO certification. The PESO certification or more precisely the Petroleum and Explosives Safety Organisation of India registration describes the approval program for the oil and gas industry or machines that work with gases or are used in the oil industry. Inform yourself in good time and we will check for you without obligation whether your product is subject to approval.

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MPR Author

About the author: Julian Busch is founder and managing director of MPR International GmbH
Publisher: MPR International GmbH

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